All categories

1 year ago

what is the effect of using fifo during a period of rising prices under a perpetual inventory system?

1 answer:

Ivan1 year ago

7 0

The FIFO technique of inventory valuation will provide the lowest cost of products sold during periods of rising prices since you are "selling" the older, lower-priced goods first.

The process of estimating an asset's or business's value is called valuation. Valuation is crucial because it tells potential buyers how much to offer for a firm or asset and tells potential sellers how much to ask for their wares. Analysts use valuation to establish the current or anticipated value of a stock, business, or asset. In order to identify promising investment candidates, valuation involves valuing a security and comparing the result to the current market price. The appraiser's identification of the appraisal issue marks the start of the valuation procedure, which concludes with their reporting of a result to you. Estimating market value is the most frequent job for an evaluation. Values that are frequently used include market value, book value, enterprise value, and stock value.

Learn more about valuation here:

brainly.com/question/28962032

#SPJ4

You might be interested in

Select the type of job best demonstrated in each example.

lisabon 2012 [21]

Answer:

1-job with benefits

2-entry level job

3-salaried job

4-part-time job

Explanation:

8 0

3 years ago

Read 2 more answers

The latest video game comes out and costs $60. You put it on your credit card and can’t afford to pay the whole bill all at once

Vsevolod [243]

Answer:

The minimum payment is 15

Explanation

so you have to pay another %15 of the bill each month

6 0

3 years ago

Question 9 of 10

Leto [7]

Answer:

Cross functional team

Explanation:

blah blah blah blah

6 0

3 years ago

Action Aaron McKinney is a cost accountant for Majik Systems Inc. Martin Dodd, vice president of marketing, has asked Aaron to m

Lilit [14]

Answer:It will not be ethical for Aaron to attend the meeting and share relevant cost data

Explanation:

Sharing of the relevant cost data will enable the competitor to have a good idea of what goes into Aaron production and it's pricing policy which may be use to the advantages of the competitor.

Furthermore there is no law that protect a firm from his competitor abuse of information obtain through mutual consent.

3 0

3 years ago

The gross margin ratio:

yaroslaw [1]

Answer:

The correct order of the question is below:

The gross margin ratio: 1- Is also called the net profit ratio. 2- Indicates the percent of sales revenue remaining after covering the cost of the goods sold. 3- Is also called the profit margin. 4- Is a measure of liquidity and should exceed 2.0 to be acceptable. 5- Should be greater than 1 for merchandising companies.

The answer is 2. Indicates the percent of sales revenue remaining after covering the cost of the goods sold.

Explanation:

Gross profit is the difference between cost of sales and net sales revenue and gross profit margin is calculated by gross profit divided by net sales revenue. It can be expressed as a percentage.

This margin is the first measure of profitability.

Option 1 is wrong. Net profit ratio is the ratio of net profit to sales revenue. Net profit is after all expenses and tax have been deducted from revenue.

Option 4 is wrong. This is not a measure of liquidity. Current ratio and quick ratio are a measure of liquidity.

Option 3 and 5 are wrong

5 0

3 years ago